White House Releases New Middle Class Tax Report

Earlier today, the White House released a new report by the National Economic Council highlighting the effects of President Obama’s proposal to extend middle class tax cuts.

Today, while Republicans and Democrats in Washington rarely see eye-to-eye, everyone agrees that extending middle class tax cuts will give working families and our economy a little more certainty at this make-or-break moment. So far, the only reason the middle class tax cuts have not been extended is that Republicans in Congress continue to insist on cutting taxes once again for the wealthiest few. That’s why the President called on Congress to break through the gridlock and pass a one year extension of the tax cuts for every family making under $250,000 a year—98 percent of all Americans. The highest income 2 percent will still benefit from current rates on their first $250,000 of income, but there is simply no reason for Congress to wait to keep taxes low for middle class families. If Congress fails to act, on January 1, taxes are scheduled to go up for 114 million middle class families by an average of $1,600 as such tax cuts as the expanded Child Tax Credit, the 10 percent tax bracket, marriage penalty relief, and the American Opportunity Tax Credit all expire. A typical middle class family of four would see its taxes rise by $2,200.

Today’s report includes a lot of important information – from an overview of the President’s proposal to several hypothetical examples of what these tax cuts would mean to middle class families and small businesses to important state by state breakdowns.

Click here to read and download the report and please share this important information with your networks.